In 1988, Ronald Reagan was president, the Pirates had a winning season and the South Highland Avenue Bridge was in need of repairs. That's when, according to Councilman Bill Peduto, the city added that project to the Transportation Improvement Program, a sort of wish list put together by the Southwestern Pennsylvania Commission when it applies for federal grants.

For reasons unknown, the project sat, and sat, and sat on the list, and was never funded or completed. Now, the bridge needs a full-fledged replacement. And now, the funding is in place to make it happen. Around 80 percent of the $3 million project will come from federal sources and the rest will come from state and local sources. 

This morning, while assistant public works director Pat Hassett was in council chamber on other matters, Mr. Peduto asked about the project. Mr. Hassett replied that he not only had a start date, but he had a start time. 

March 4, 5 a.m.

Pitt economist Chris Briem dives deep into Gov. Tom Corbett's budget today and finds the guv's team is budgeting only a 1.5% jump in revenues in the coming fiscal year, after predicting a 4.1% jump this year. What's more (see the chart above), actual revenues this year look to be coming in higher than the rosy estimate. 

Does that mean the guv thinks the state's economy is heading into trouble in 2013-2014, and perhaps not creating enough jobs? Or may legislators tweak these numbers upward, providing for more spending? Here's Chris:

See where this is going? Everyone fights over expenditures, but the battle is shaped by revenues. The budget just being proposed is anticipating just 1.5% additional revenues over the current fiscal year. Virtually a new recession in Pennsylvania. The current fiscal year is pacing at least +5% (or 3.5 points above what is being projected). Each of those percentage points in the delta is $280+ million not being budgeted for. If nothing else, and I fully appreciate the obligatory dismalness of budget forecasters... at a certain point you have to ask yourself how much dismal is enough? Maybe the bigger question is if there is reason to think Pennsylvania's ecconomy is going to tank pretty soon (FY13/14 starts in less than 5 months) then we should have some explanation as to why

Good morning.

Full state budget story here from Karen Langley and Laura Olson, with sidebars on pensions, Medicare, education and transportation. On the latter, Jon Schmitz did the math and figures Gov. Corbett's proposal to lift a cap on gas taxes (thereby allowing them to rise) will cost drivers about $43 bucks.

Wild congressional hearing on five Legionnaires' deaths at the VA hospital in Oakland. Sean Hamill covered.

Even more changes afoot within Allegheny County government and its authorities -- the Airport Authority board demoted its director and Vince Gastgeb is resigning from county council to concentrate on his new airport job.

The county's law department is reviewing what to do with Bill Peduto's complaint to the election board about mayoral rival Michael Lamb's finance report. The Lamb team called the complaint a "stunt" but refused to get into specifics, while Mayor Luke Ravenstahl's camp says it's abiding by the new campaign finance rules.

The Never-Ending Oops continued Tuesday night, as Allegheny County council voted to raise the homestead/farmstead exclusion rates in light of -- you guessed it -- complications due to property tax reassessment.

Homestead/farmstead exclusion (here, let me save you a Google search) lets property owners lop off a few thousand dollars from the tax assessment of their primary residence or farm. For years, the discount in Allegheny County has been $15,000.

Not anymore. County lawyers realized that state law required council to raise the discount after a reassessment, sort of like how it's required to lower the tax rate to prevent windfall revenue. Tuesday, council bumped the exemption up to $18,000, keeping the average savings per resident at around $85.

Hiccup No. 2: The county tax bills have already been printed. So council voted to push back the mailing of the bills by 30 days to allow time for a do-over.

County Controller Chelsa Wagner's staff must have been chortling: After already criticizing council and County Executive Rich Fitzgerald for potentially reaping a windfall from too-high taxes, they surely noted the extra revenue from the homestead exclusion mistake would have put the budget another few million bucks beyond bursting.

But they played it cool, putting out a (6:50 p.m.) press release that lauded council while expressing reservations.

"While I appreciate that County Council made some effort tonight, this still does not adequately address the windfall problem," Ms. Wagner wrote. "There remains a lack of transparency, and I continue to be very concerned about the haphazard manner in which the County makes major fiscal decisions. This is not good math and it is certainly not good government.”